Artificial intelligence (AI) – and generative AI (Gen AI) in particular – is being incorporated at an unprecedented rate into virtually all areas of the economy. Thus, it is not surprising that virtually all fund managers who participated in a study conducted by the Alternative Investment Management Association (AIMA) said they use Gen AI in their work – and most are increasing their use. Earlier this year, AIMA asked fund managers about their uptake of Gen AI, including their approaches to governance; policies and procedures; risks and limitations of Gen AI; training and hiring; Gen AI models; and use cases. It also asked institutional investors about their AI-related concerns and communications with fund managers. This article distills the key takeaways from AIMA’s study. See “AI Widely Used by Hedge Funds, AIMA Study Finds” (Apr. 25, 2024).